10/10/2025 (Agence Europe) – On Friday 10 October, the EU ‘Economic and Financial Affairs’ Council adopted Germany’s medium-term fiscal-structural plan for the period 2025-2031, which sets out the following growth path for German net primary expenditure: 4.4% in 2025, 4.5% in 2026, 2.3% in 2027, 1.7% in 2028 and 1.6% in 2029. The German Finance Minister, Lars Klingbeil, said he was “very pleased that we have managed to reconcile the investment projects and reforms we have carried out in Germany with the European fiscal rules”. The EU Council also formally approved Germany’s request to activate the national escape clause in the Stability and Growth Pact, which will allow it to increase its annual military spending by up to 1.5% of national GDP for four years. To see the EU Council draft recommendation on the German fiscal plan: https://aeur.eu/f/iuc (MB)